MultiChoice to investigate own relationship with “Gupta channel”

Desperate times for the media giant.

JOHANNESBURG, SOUTH AFRICA - AUGUST 21: Atul Gupta at the launch of ANN7 news channel on August 21, 2013, in Johannesburg, South Africa. (Photo by Gallo Images / Sunday Times / James Oatway

Following the controversy regarding a questionable working relationship between MultiChoice and ANN7, the media giant is set to engage in a bit of a self-probe.

Multichoice chair Don Eriksson revealed in a statement on Friday that the board is set to investigate payments to the TV channel previously owned by the controversial Gupta family as well as take necessary action.

“The board is aware that the ANN7 channel has caused real public concern because of the allegations of corruption levelled at the former owners of the channel,” said Eriksson.

“The board is aware that the ANN7 channel has caused real public concern because of the allegations of corruption levelled at the former owners of the channel.”

Further damning reports revealed another inflated payment made by the company, this time total amounting to R100 million in the direction of the SABC back in 2013. This, according to the DA, was for “political influence” regarding digital migration.

Multichoice previously denied that there was anything untoward in their relationship with ANN7. However Eriksson revealed in the statement that the board has instructed its audit and risk committees to probe whether the amounts paid is comparable to any other channels.

The committees have also been instructed to investigate whether there have been any corporate governance failures and report back to the board so that action can be taken should it turn out that there have been any.

Advocate Kgomotso Moroka, a Multichoice board member, will oversee and assist the risk committees that have been appointed to conduct these investigations.